Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Calculation of Profitability ratios -
2008
2009
2010
G
Net Sales
8506616
11993699
16064038
H
Gross Profit
2145345
2940480
3782294
I
Net Profit
327743
450086
627643
J
EBIT or Operating Profit (Net)
660135
935835
1182927
K
Equity
1277659
1690493
2257267
L
Total Assets
3103645
4049092
5131809
Net Profit Margin ( I / G)
3.85%
3.75%
3.91%
Gross Profit Margin (H / G)
25.22%
24.52%
23.55%
Return on Equity (I / K)
25.65%
26.62%
27.81%
Return on Total Assets (J / L)
21.27%
23.11%
23.05%
As shown by above, out of the four ratios except Gross Profit Margin all other ratios have improved in 2010 as compared to 2008. However, both the Net margin and the Gross margin have declined in 2009 as compared to 2010. The company has shown better performance in terms of return on equity as well as return on total assets in both the years i.e. 2009 and 2010 as compared to 2008.
Overall, it can be said that 2010 has been a good year for the company in terms of profitability and overall the company has been moderately profitable with marginal increase in profit percentages.
Suppose a company will issue new 25-year debt with a par value of $1,000 and a coupon rate of 8%, paid annually. The tax rate is 40%. If the flotation cost is 3% of the issue proce
Assets 1) The classification of investments in the Balance Sheet will be under a few broad headings with schedules listing the individual assets. Where the Trustees Act has been
Maghrabi Enclosure follows a moderate current asset investment policy, but it is considering whether to shift to a different strategy. The firm''s annual sales are $500,000; its f
The following information was taken from the ledger of Jefferson Industries, Inc.: Direct labor $85,000 Administrative expenses $59,0
GOODWILL This is defined as “the difference between the value of a business as a whole and the fair value of its net separable assets”. Goodwill in practical sense is the advant
For purposes of rules which apply to top heavy plans, a key employee: 1. An officer of employer earning more than $130,000; 2. An individual who owns more than 5 percent of e
On January 1, 2012, Osborn Company sold 12% bonds having a maturity value of $800,000 for $860,651.79, which provides the bondholders with a 10% yield. The bonds are dated January
The assets and liabilities of Toronto Service Inc. as of December 31, 2008, and revenue and expenses for the year ended December 31, 2008 are listed below: Accounts
ACCOUNTANCY PRINCIPLES (GAAP - GENERALLY ACCEPTED ACCOUNTING PRINCIPLES) Accounting values, rules of conduct and action are explained by a variety of terms for instance convent
Determine the Balancing risk and return All decision making involves future and business decision making is no exception. Only thing certain about the future, though, is that w
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd